December 2025 — Global — A surge in global demand for battery storage capacity is sweeping through clean energy markets, driven by major power-grid reforms and accelerating data-center buildouts. China’s comprehensive power market reform has significantly enhanced the economics of utility-scale storage projects, making battery assets more profitable and increasing operational deployment across Asia, Europe, and the Middle East.
Key Trends
Chinese battery manufacturers are expected to deliver a 75 % increase in global shipments of lithium-ion cells used for energy storage in 2025, reflecting strong global demand.
The boom in deployments is supported by grid reforms mandating market-based auctions and flexible pricing, which allow storage systems to operate more hours and capture additional revenue streams.
Data-center growth and investments in renewables are creating new storage applications from utility grid services to behind-the-meter energy management.
Why It Matters
Battery storage is no longer a niche technology — it’s rapidly becoming foundational for modern grids. With six of the world’s top ten cell suppliers based in China and billions in storage investment underway, the expansion of storage infrastructure is critical to accelerating renewable integration and bolstering grid resilience globally.
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